The rating on Washington State Housing Finance Commission's Community Reinvestment Act (CRA) taxable single-family program bonds is affirmed upon extension of the acquisition date for $4.4 million from Dec. 1, 1999, to June 1, 2000. Cash flow projections modeled in connection with the issuance comply with Standard&Poor's rating criteria for 'AAA' rated single-family transactions. The scenarios indicate that assets and revenues are sufficient in all cases to pay full and timely debt service plus fees through final bond maturity. The commission capitalized interest at bond closing to cover programmatic shortfalls, including the 30-day mortgage-backed security (MBS) payment lag, negative arbitrage, and reinvestment risk. The commission may withdraw surplus earnings from the indenture on bond payment dates subject to
